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tv   Capital News Today  CSPAN  January 30, 2013 11:00pm-2:00am EST

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going. it's the work that matters to that are technology neutral and performance-based so that everything can compete. massachusetts, the work we have been working on here and the you no, adc tripoli just work i'm going to do. thank you. published last week their top 12 [inaudible] cleanest cars for model year 13 and eight of the more hybrids and a couple of them were ice [inaudible] >> i'm not even sure who else e.'s in a couple of them were was on the list except in electric vehicles. other's dynamic folks, including those who reported on. so, there is a fair and balanced approach that looks at the from a powerful list of people, the governor select me. environmental benefits from both thank you very much. the smart and co2 and energy [inaudible] consumption and fairly hybrid i [inaudible conversations] maxie e's e's and electrics are competing with each other. i don't think we want to dig tate the outcomes i'm talking [inaudible conversations]
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about electric vehicles only. if we could accomplish the same goals with other technologies, then that out to be open to the marketplace and technologies can compete with one another to [inaudible conversations] achieve those goals. >> and the other comments on that question about what are the obstacles standing in the way, not electric cars but fuel cell, [inaudible conversations] anything other than gasoline or do you agree with what robert has said? >> a good baseline for that question, if any one of us or any other companies of competitors could figure that [inaudible conversations] solution out on a particular technology that a company can do very well in that market. we don't know. >> thank you, guys. thank you. we have taken electrification from a small handful one, to, three, 452 something over 60 all
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[inaudible conversations] competing for what has been pointed out to be 3% of the market. and the more volume would increase. it hasn't worked out that way. we are competing for the same 3% of blue-collar owners at this point so how did challenge customers to get into electrified vehicles is a big challenge. because if we look far off into the future 25 is is starting point and that is eyes that looked at as being a point on a trend towards an 8% reduction of greenhouse gases from personal transportation. there is no other technology at this point. who knows, maybe we will come up with nuclear power that will take care of it. that is next right now on the cards. so we'll look at the idea of running through electric >> john mccain's 2000 indication to get to longer term future. the challenge in our marketplace campaign, when he ran for is really severe but it's almost president is the most memorable
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as tough with something that's much simpler and that is cng and campaign of any that i've ever covered. i mean, we'll never see it again diesel. the american marketplace has been pretty adverse with diesel. here he was facing george w. bush to head doll the republican with this ghastly illness con and you would think cheap fuel party backing him and the two is something that people would gravitate very quickly. republican governors of new hampshire and all the money and is the same issue between cng, john mccain would not have held 114 town meetings. diesel and hydrogen. he stayed there until every question is answered. >> it's a situation where you these seem like bulbs going off need the car to justify it. >> we are watching a lot of ways and people said. to develop that. it was mentioned on the prior as long as my parties on by the panel mary got into our insurance companies and democrats are on by trial. next question. government's role to being guage and infrastructure employment. it was just candor. you could see it in people's that's good. is a good thing but government can buy the infrastructure. responses. he was totally open to the the marketplace has to pull that press. it was candor, openness, welcome into the market. our experience recently in ms. that no one had seen before looking at natural gas has been and no one has certainly seen
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we are trying to restrain ourselves. since. we have a marketplace now that is moving beyond government support and it's generating interest in natural gas vehicles. the >> last year, epa announced no a group of 20 or more states right now pooling their fleet standards for cars and trucks to come into effect in 2025. ties into the same bucket so we a panel of regulators and industry observers talk about can all look at who produces how these new standards will be met. a second panel includes vehicles to sell to that market executives of chrysler and and grow our market. toyota. we think it's very exciting and this two-hour event was hosted by the national journal. it's the market pooling technology. that has to has to be pooled and >> are opening panel discussion it can be forced in a whiskey will feature mitch bainwol, get to the fuel cell future the market has to be -- president and ceo of alliance manufacturers, don chalmers, [inaudible] national auto dealers >> i think we have covered a lot of ground. association. three points if i can remember rebecca lindland, director them and i can't think much on automotive research, ihs the business card. automotive. gina mccarthy, administrator, i fundamentally agree with robert in terms of performance epa administration. should be the issue enough the mary nichols, chairman air technology.
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resources board. with respect to your original question as well, what is interesting when you look at our moderator will be china leven, correspondent. more and more advanced font has covered patch of regulation for dow jones technologies is the issue from a newswire and "the wall street consumer perspectiperspecti ve, journal" as an alumnus does and marginal cost versus marginal return. columnists daily, now a national we all have been saying and they journey daily. all understand in the industry now a reminder to everyone in that the internal combustion engine and the associated the rim and viewing us the string that we welcome your comments, questions and that the atwitter hash tag n. jay otto transmission light weight material will get better over time. that is going to be the biggest summit. we will come around handheld line moving higher and higher in any advanced to knowledge a microphones for q&a during the question-and-answer portion of this event. so-called has redefined what is advanced and what is not then fawn, i will turn it over to you. has to compete against that from hi back a consumer perspective. there all sorts of policy reasons that people talk about for various alternative fuels and sometimes i think people have a hammer and they have to [applause] hit that nail but there are [inaudible] valid policy reasons that people talk about these different fuels. unfortunately, i do know people care about these policies. consumers tend not to care about >> -- i'm going to start the them so much when i go to make
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gina mccarthy from epa. thank you for being here. their purchase so that is the if you can give us an update for second issued, the marginal cost to marginal benefit. 2012 through 2016. do you have a better internal combustion engine than what is in 2025 would be helpful as it say about moving to a hybrid ante up a hybrid vehicle what is that say about investing well. >> first of all, thank you for substantially more in battery pulling this together. it's an exciting week in an and potentially refueling opportunity for us to revisit what we've accomplished over the last few years. capability to move to a electric bush's take a look. vehicle? so that is the second in the 2012 to 2016 is the first phase third relates to natural gas. of the president's national car program that extends out to clearly a hot topic and a 2025. during that period of time to essentially double fuel economy up to 54.5 miles per gallon. revolution going on the state not to mention the lake was that are being derived from the it does it in a way that collaborates with the automakers natural gas recovery process as themselves in a way that will well. i do think that there is an produce the kind of cars that are safe and effective and performed the way americans interesting future for natural consume or want to see and will gas in transportation. really provide tremendous societal benefits. the question is what is that so what is a win for everyone future? i think what people tend to and that is my basic message. gravitate immediately towards
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because it's in the works if you look at it on the climate change site, what we're talking natural gas, compressed natural gas vehicles. about is over the course of 2012 the light-duty personal transportation market, i'm not sure we see at the least right through 2025, vehicles will now in the u.s. as necessarily a reduce carbon pollution by fantastic alternative. 6 billion metric tons. were talking about 12 and arrows the operating costs from the of oil saved. hybrid with low natural gas prices, the cost up is about the these are numbers not to be sneezed at, ladies and gentlemen. these are very large benefits for society. same. we saw automakers standing up, you can refuel a hybrid anywhere touting this initiative because in your trunk space etc. etc. except from a consumer viewpoint they knew they could produce it's a tough sell. cars are more efficient and consumers who want to purchase. the second aspect for natural on the consumer side, perhaps gas, the vehicle market does seem fairly attractive for it consumers here are the biggest winners of all. they're going to get cars that perform the way they want better either lng or cng vehicles and safe, that is, provide them there is a lot of reasons i won't go into but not the least utility they need, but they're going to save money in their of which is in the long-run pocketbooks every time they go into their vehicle. gasolines demand globally and here in the u.s. is projected to flatten whereas it will continue that only gets better over time as the standards increase.
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to rise driven globally by asia so it's exciting. but also just by economic growth around the world. were also used in the same initiative under heavy duty truck side. we've already produced in including here. so the potential for offset of the fuel price and the vehicles collaboration with the industry themselves, an initiative that that get a lot of mileage have a lot of appeal for that. extends from 2014 to 2018 and the heavy vehicle side were >> i'm sorry, i'm going on here looking for additional savings but two quick points on natural that will make it over the next two years. gas. again, it's collaborating with it has the potential as a fuel for electric vehicles and you industry themselves. know what you never hear enough when they take one minute to look at what were seen in 2012 about is the potential for hydrogen. because during 2012 for those of you like me who forget what year steam reforming natural gas to we are in. make hydrogen for fuel cell vehicles. if you look at the lifecycle what we saw last year was that they expected to see. energy assessment is actually the most efficient way to use we saw penetration of fuel the natural gas reserves that we economy than a gasoline engines have. and internal combustion natural gas engine is 18%, 19% thermally more efficient. we saw direct injection from five years ago from now to 25. efficient so you are blowing a we see more transmissions. lot of natural gas out of the these are the things donate tailpipe. >> to rebrand hydrogen fuel benefits for the vast majority
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cells. of causes out there today. we saw two times as many hybrids i think that would help. said given the fact that gasoline seems to be the dominant choice of fuel for the and diesels as we've seen over the past five years and what foreseeable future as we talk we've seen is the continued about in the previous panel hp pageantry is should of electrics is moving forward on a tear and vehicles. through regulation to lower the the most exciting thing is six sulfur in gasoline that finally went to the white house review today after being as journalist times at the label rating of with a little bit delayed after 30 miles per gallon or better. the presidential election. nobody wants to be perceived as in 2012, were almost seen the creating higher gas prices. i would like to hear from the kind of benefits that we might have anticipated in 2016. so what we've seen here is good automakers about what your position is on these regulations old american ingenuity and car and why and why not do think it's an important step to take? manufacturers. >> the use of tier 3? we see them challenged him to step up to the plate and see them and consumers the kind of we have worked out longer than products they are expecting that the greenhouse gas roles. it's just the nature of how have significant societal worked out. benefits for all of us. we started off with our work in >> thanks, gina. california and the epa on the i have some journalists questions. debates in our discussions and i want to go next to mary were started working towards the national standard at that time.
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we have been in support of those because you have been collaborating closely with epa rules for at least a year and as and some of california's regulations. if you could tell us about your you said it got caught up. dance clean car program for we are glad to see that fuel is which she waved her and it's the very important feature and the sulfur -- going. >> sure. we have been chasing for a long were proud of having played a time and now what they're role epa and transportation and pointing to his gas directed last year's achievement of the new greenhouse gas and pollution injection engines need sulfur to -- so it's good to see that standards. were also looking at those is potentially coming. that moves into the next up to the part of the bigger picture, also in collaboration with lower carbon fuels in general federal partners. and that is the discussion we will be having over the next few california is trying to carve years. out a path, which we hope is >> i think the tier 3 is really going to not just keep on about two things. producing the best cars that are it's the lower sulfur which is required to get the lower-cost industry is capable of producing, but looking at the catalysts so that we can burn whole transportation system as a the gasoline as cleanly as
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package. because of our legislation, possible and about phasing in 8032, which requires california to achieve the same standard as california's -- the country in the road that so california is the cleaner mix signed the kyoto treaty but and they affect about 40% of the sales. their greenhouse gas emissions and we are all in favor of as a state to 1990 without those, but even more so because of challenges of meeting our having one national program that clean air act requirements for is consistent rules regardless of the state and tier 3 is health-based standards, we have to look at not just the vehicles, that the fields on the really about phasing in california regs across the systems using both of them in a more comprehensive way. country, getting california level fuels and we are always the cars program focuses on been very supportive of it. vehicles and the need to bring it will be a trivial increase on the cost of gasoline, and i on the next generation of vulture crain vehicles using essentially electricity or think everyone should be supportive of it. hydrogen for advanced biofuels >> not everybody in washington is supportive of it. by fair means of propulsion. do you have any comments about in our vision for 2030 and it and do you agree? >> i agree and i will turn this beyond, we are looking at in a slightly different reducing emissions from fuels, getting ultra low carbon fuels into the mix and also rolling direction. i do agree and what is
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out the infrastructure for the interesting to me, then i actually wrote a blog last year for the "national journal," is state plays a role as a provider or planner, working with local this interesting thing that happens in washington about fuel planners and others so these vehicles we are seeing now being prices and you know, to four for produced are going to be a success. it is essential for the economy very good reasons we want to of our state. move towards lower carbon california is not a state where reduced dependence on foreign oil etc. etc., and lots of time movies are even silicon valley are our leading economic base. and effort and money is spent to our economic base is develop, put regulations in transportation, logistics, place and develop technologies moving things through our ports. to melissa in that direction at we have whole counties for the major sources of air pollution the same time anytime gas prices is the railyards in the truck go up this much washington freaks out and they drag the oil terminals. and so, making all these pieces industry and for hearings in work together so we can truly this that and the other. i'm not advocating necessarily come up with a transportation system the future that meets our any particular policies right environmental and economic needs now, that but just observing is the goal here. that it seems like we put a lot of effort into cultivating the the federal standards, steve sanders who worked on last year
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a really step in that direction because they save consumers money. we have to do more than make the society for advanced technology vehicles and then we do cars affordable. we have to make it affordable to everything humanly possible to operate and then when people get make sure they can't compete. and then they can move around .. and are just spending their time stuck in traffic. so we're trying to work on all of those things at the same time. >> it's a perfect lead-in to john because my question is about affordability and the impact of affordability because of the standards of california and the epa are putting out. >> okay, what thank you each of those who may not know, i'm an odd about real dealer. i've been in the retail business for almost 40 years, so i think i know what happens on the showroom floor in how that it might affect the in the real it's a very tricky issue for a world. i would like to say to begin , you know, we have signed up with that automobile dealers as for this regulation that is a group are very, very much in
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going to essentially fuel favor of improved fuel economy. economy in the next dozen years, that they would be for business and if you think about that, if we got 54 gallons a day and there was an economic cost ways. what that means from a consumer that's not going to happen that perspective, buying new car in way and that is our concern. automobile dealers have present the next dozen years, your cost north of 15% of the retail per mile to drive the new car is cut in half. to have the same wallet-feel you dollar sales in our country north of 50% of the retail employment in our country. have to see gasoline prices of i think it's a very, very important statement to be included in this panel. $6 or $7, or $8 for consumers to the concerns that i would have pay the same proportion of the been all for the fuel economy income in 2025 that they're paying today. probably fall in one of two categories. i do consumers really another and yet that's not a statement consumers able to take advantage we should increase taxes on of the technology that will be coming from the manufacturers. glean. it's incredibly regressive. are they willing -- will we be you can sit in policy hearings able to make the standards and
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produce a type of cars that people want? and talk about how it's a clear signal to the marnght to i wish i had a crystal ball and could tell you, the standards increase the price of gasoline, if that's what you're trying to are further out than we've ever reduce. it is, you know, when you see had. spikes in the price of gasoline we would prefer them to be in and people are interviewed on five-year increments because it the news and they have the is easier to forecast five years out than 12 or 13 years out. lifestyle, you know, jobs to get but the rule is what it is. to, and commitments that are made and then they have a huge we don't know what's going to happen by 2025 in a lot of impact to their life by these high costs. different areas, so we don't know what the demand is going to so i'm not sure there's a magic, be and what the consumers will need and what they want. you know, dial here in this is a very, very diverse washington that can be set country, a very, very diverse needs of the consumer and we perfectly. >> what about a carbon tax? >> well, you know, it works out need to address all of them. we can't address 90% and the 10% to be a similar, i think, what out. i would tell you what happens to consumers in washington d.c. and is it for every $10 it's about new york city are totally different than the consumers in -- 10 cents a gallon, eight
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new mexico for the mountain states are california. we need to consider all of them cents a gallon for gasoline. it's another tax. i would need to make sure the we have to be careful because it manufacturers are building effects consumers so broadly and vehicles that address the needs for all consumers. there are unintended so are they willing? that is the concern. consequences. at the same time, these advanced technology vehicles as tom the other concern is are they brought up, hybrids are going to able? this is a concern that i brought have to compete with better and better conventional vehicles, up before. and better electricity cars have although there are savings to be to compete with better hybrids. had by fuel economy as far as it becomes very difficult. operating cars, 95% of the cars it's helpful when there are they sell, and i self-worth by market signals saying this is what society values. the way. there is an advertisement for a honda dealer, so anyone who society values reducing carbon. wants a ford -- therefore there's a tax or new [laughter] incentive or something like that. but the 90% of the vehicles that it's very difficult to implement i sell our finance and without a way that is fair and balanced. >> right. i know, that auto companies have done work to show that. there's a direct correlation between high gasoline prices and
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financing, my business would not the selling of more fuel be very good and that's the way efficient cars, hybrids, electricity cars and that's it is now a not so it looks like it will be in the foreseeable future. although you save money on fuel politically inconvenient truth in higher gasoline prices move in that direction. i think we remember what the economy, if we can reach and i'm sure manufacturers can reach energy secretary said at the this standard, that doesn't beginning of barack obama's term. guarantee people will be left to we have need have gasoline give finance. at the low end of the new prices as high as europe. he's been criticized by republicans ever since. would you agree, it's vehicle market, the finance politically inconvenient but also an open secret? companies flickr which are disposable and comments and look >> i wouldn't say that. at the payments that you're yms don't forget the first thing that happens when the prices go up is people downsize. going to say when he sang a note they get smaller vehicles, and to buy a car. those are the two numbers that they look at. that's not a very -- technology they don't ask what the fuel economy is and how much money you're going to save. or shift to different fuels. very frankly, i don't know when he was questioning the way they it's kind of reality. so don't forget consumers have underwrite automobile paper because frankly through the incredible choice. great recession we are climbing that's our job to provide them out of at this point, automobile
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with choice with a good product and meet their needs. paper has performed better than almost anything a know us. but it's the idea that we're and therefore their underwriting standards seem to be right on going, you know, funnel and they're not going to change consumers in to some that. at least the people i've talked to, the large banks of the policy-driven choices here, i captains i've been able to talk to has said no, we don't look at think it's we're optimistic. it that way. and i said this before, it >> as well. doesn't make any difference if the other half of the equation, things are a nickel a bushel. i but the other half of the if you don't have the nickel you equation is what can we do as automakers? and, you know, trying to don't get the beans. if it's a good job because you save money over time, but you innovate, trying to reduce costs, trying to develop new can get financed because you technology, compete with one don't get approved because your income is low, you will not take another, you know, to get the cost of the technology down to advantage of the high technology the extent they can. is sort of the other half of the and improved fuel economy and that sickens her in. equation. we have been doing it for how many vehicles does it take out of the annual market is decades and decades and will keep doing it for decades and another concern and certainly decades. it's a tough -- and other side could not help with car sales of the equation on the policy
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side it's tough because the for the fuel economy, the jalopy issues -- effect of gdp with higher prices and when you with affect so-called into effector people say i can get financed, i respect to the advanced think i'll hold onto my older car that really doesn't get as technology up tick in fuel good as phil economy. prices go up and gdp is good you are more likely to see people invested in advanced technology >> in addition to the to address the high fuel transportation department and epa, way to a stretcher prices. they go up and sustained and it department. >> well, i hope we don't start effect gdp and fuel prices go up dictating to the finance versus and gdp is not great. how to finance cars because it's you mazie the shift toward been very successful. >> you bring up a great point downsizing as robert said. about how the consumer is on the >> i'll be opening it up in a few minutes. front line approaching knees i want to talk fuel we haven't particular issues and financing is a big deal. brought up yet. i know, it was discussed in but that is a perfect lead to the fire and, to rebecca who has pretty good detail. biofuel. the renewable fuel standard coming under criticism among done work on what consumers want some interest groups and legal battles continue over epa's them looking into the future. can you project overlooking a decision for the e15 waiver, and the kinds of questions that meaning 15% of ethanol can be manufacturers should be asking blended to gasoline, where did
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you see biofuels sitting in to as they look into 2025? the transportation equation, and >> we do have a crystal ball, we if you can talk about the difference between corn-based ethanol which is most of the forecast out. i'm in a unique position different than my share in that criticism is coming and advanced i'm now serving a two national ethanol, advanced biofuel that academy of science committees. are having a harder time one is the midterm review and penetrating the market. >> well, -- [inaudible] the other one is the barriers to electric vehicle penetration. biofuel come from food and -- i've been complaining about mandates about washington is [inaudible] that now i'm part of the problem. it's a very unique position and fuels from nonfuel sources that i'm excited to serve on the are drop in fuels. committee because we get the opportunity to look at these different problems and and we think that there's a good situations. when i think about the consumer, opportunity for the transition, not just from ethanol to -- but the key element for me is avoiding unintended consequences really from ethanol to the bio-- we could potentially delay the which will go in to the fuel system and be transparent in the grinning at the sleeve, which is
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in my mind the worst possible automobiles. outcome if we don't make these when bewent from -- when we went vehicles more affordable. some information i got yesterday from ledded gasoline to unleaded gasoline. there was a lot of focus on and time to fully integrate into preventing the fuels. my brain and i didn't bring a. i think the industry is very concerned there's not enough i didn't know we could. so when we look at the averaging attention that's been paid to make sure that we don't have come a day of the fire, all the misfueling such that consumers end up with problems in the information the market now is existing fleet. the existing fleet is a couple the hundred $50,000 figure and i hundred million cars. it's not just cars, there's look at average buyer of the industry is about $68,000 a generators and lawn mowers and year. and having worked at the fdic, motorcycles and on and off mercedes-benz credit, i have a background in looking at road-activity atv and so forth. affordability and these issues and epa approved e15 for a small people face but cannot loan to value ratios. it's not romantic, but when you buy a car and they say, look, portion of the on road you're about to value isn't vehicles. there's some question about them. i think the clear direction working. you can afford this car. should be towards drop in
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suddenly you are stuck with a fuels. 10-year-old suv at 12 miles per and i think that is a very possible and -- i think we'll gallon. so there's certainly an element hear more about them in the to make in vehicles affordable. future. >> do you have any comments about that? >> i support the future. what i see is people go when in i think it has a huge role in say an suv fits my lifestyle for the future of -- [inaudible] a crossover, car-based suv, but i want a fuel-efficient version of that vehicle. lower carbon fuel. something important as overall last year hybrid sales were reduction in transportation. 2.7%. to get there you can't just keep we got up to 3.2% now, what than on using fossil fuel-based items half of that his toyota per esn unless you are going extract or expanded line appeared courtesy toyota. carbon and put them in the we got to be to understand that ground. brands like ford have hybrid it's difficult. what about different processes using different feed stocks to give us low carbon fuels and vehicles. the chevrolet -- i'm sorry, did then see that as market? buick regal and buick enclave -- i think the potential for having jobs in every state new europe has a pair of vehicles it sustainable renewable fuel jobs gets better fuel economy than the non-persian. in every state should be a
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priority. and we can't get that going. it sells about the same price. people perceive that is a risk with electronic cars. in people right now are it's too hard for folks. risk-averse. we thing there's a stronghold they don't note this new for that. we mentioned in the previous technology is. panel, we think technology is it takes a long time to explain moving forward -- the door is open. we have been engaged with a when they sit in the dealership company that we think has a there's a lot of coordinated demonstration of a prose is that that needs to go on to educate has very good. we're not necessarily supporting consumers on what the different technologies are. the company. we're supporting the pursuit of the processes to move us to the i got the opportunity to drive the new 9/11, which is always a production. we think that the government good day at the office. i'm sitting there and if i can needs to stay on track to encorning alternative fuels. the easiest thing for the gather the user manual transmission and any any and all marketplace to have a drop we opportunity. i have one of the rare use the same infrastructure. accessories was a manual and it's not out of site. transmission in the u.s. in june in the vehicle and the it's a little ways to the future. >> i think one of the most automatic version and it's got overlooked part of the whole dual clutch and i'm thinking, conversation is the fact that the first and foremost goal of all right, i'll try it out. it was fantastic. automakers is to make a car that is safe. to you ever see any conflict or i'm horrified to say that
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because it is just a manual gear hard balancing act to make sure you build a car that is safe had%, but i enjoy driving up more than the manual. while also trying to meet the my colleague and i have were fuel economy standards? both a little bit hard by at anybody have any comments on that? >> yeah. i guess i'll jump in. first. you got to get in the vehicle and give people the opportunity yeah. you know, safety is first priority i think for all to drive these new kinds of automakers. transmissions, these new kinds there's a tension between of technologies over mandating, encouraging for automakers, to particularly in terms of weight, adding weight to vehicles for poor fuel economy. various safety features that not it's just a matter of education only regulations demand but also that the consumers want and and getting people exposed to these vehicles. demand. we've talked about that on some and weight is an important of the committees. i can't tell you what we factor to improve the fuel specifically talk in private, economy of the vehicle. i think fundamentally from the collaboration amongst the automakers, they are all facing toyota's view you can do both. you have a e fresh sei and -- e the same issues. fresh sei and lower carbon and everyone has the same fuel safe vehicle. economy standards to meet. i think the key is the pace of there are different phases of meeting them, but the challenge which the two issues are is on the same. progressed with respect one so collaborated on the circus another.
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really valuable. so, you know, having a mid 50s getting servers exposed to these different technologies in teaching them how they can save. fuel economy target in 2025 is a the problem as it's hard to tell long enough time, we think we can engineer vehicles including somebody you're going to be saving over five years when the safety features that are going to be required in a way you're facing the same paycheck that the vehicles will be safer today and people still live for people to drive. paycheck to paycheck and still i think it comes down balancing say what can i afford right now? sort of the timing with which we're doing these things to make getting the consumer to look at total cost of ownership is really a challenge we all have sure that the fuel economy to address, not through the treasury, but through other reduction, if you will won't get means. so far out from the safety side >> so i'm turning to match up that you run in to a conflict there. here for us to put on your given the right amount of time, which i think we have right now. we can devote it. opining crystal ball. >> we've been working hard on this is the new regulatory system we haven't seen before in collaboration with the industry making sure that weight and the government. reduction doesn't impact safety. what is the forecast for the future? i think, you know, weight in of can we see that in other areas?
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isn't playing out as we all itself doesn't help in the crash, think of having 500 hoped? >> or complicated question. pounds of sand in your trunk. does it help you in a crash? thank you for posing such a tough question. i appreciate it. not really. the answer really lies in the it depends on how the structure of the safety cage is designed, most important point super bowl and we're using more and more week, an issue being discussed high strength steel and other with issues in d.c. have been materials to deflect the weight highly polarized, with a broad and make vehicles safe that national consensus across the allow the top safety picks, and parties, across generations that five-star vehicles in our fleet, and we're constantly improving move forward to make progress on the economy is. and working on weight reduction, first point of fundamental consensus. we do look at the world through and i think that the other thing to her presence. to be cognizant of is that most marion gina were both great of us are trying to keep our public servants coming thank you cars out of crashes. for what you do, look at policy it's not just the passive safety of what happens when you get in through dead ideal standards. an accident, but the -- avoiding
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don has to worry about who's buying it, so has a real world the accident in the first place. bottom line is that we're in the you're seeing a lot of innovation in the area of whether it's, you know, blame middle there. game assist or collision mid i don't mean that in a negative gracious. way, but we want to comply. using -- i think there's just a we embrace the ideals here in lot of innovation that is going to happen in the field and i the industry tends to be allergic to mandates, but for us really expect cars are going get safer and safer. certainly is important when you >> go we have any questions from the audience? invest in product lines and we have microphones going manufacture around the globe, around. when you have. regulations, it's very, very please state who you are with. tough, so when national program, and if the question is directed to any particular expert. [inaudible] one national panel, one national just a quick question to the whole panlt about what we're program we provide away. seeing in innovation in the it time is really, really useful automatic supply chain and how to manufacturers. automakers are working with the rest of the industry. the idea that fundamental consensus over time. >> innovation apply change and intriewrps up there. then he did in a crystal ball that's is what drives business. we would think that we are
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integrated to the smartest question. we worry about what the future is going to be in the whole list people on the planet. of factors it was to happen with but reck sympathize -- recognize there's smarter people. domestic oil supply, what's we try leverage every aspect we can get. going to happen with the cars are extremely important. we deal with them daily. economy. if the economy strop involve >> i think these the public higher income to qualify. indication of the regulations and long-term nature of them has what's going to happen with technology innovation? purr -- spurred an incredible received terrific, and the show amount of innovation. room innovation coming very, very fast. at honda, and throughout our but there's the question of supply chain, people are looking adoption. our consumers inclined to buy for every advantage they can these packages? so there's lots of questions because the challenge is so that will play out over the course of a decade and no one great and everybody who has an really knows. idea on how to reduce the that's why most central pieces of this whole equation is workload of -- in term of lightening, for example, or midterm. then it turned is the essence of getting a lot of ideas there, sound public policy. and if you go to, for example,
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if we have a world in which are we finished the detroit auto trying to push for an ideal we show, and there was some have to worry about consumers, technology suppliers on the which look at the whole equation floor of the show out there over time and that's the midterm showing some of their advanced technology toward weight reduction and fuel efficiency. does. we determine what are consumers doing, with reality? and safety. so it's a really vibrant part of if reality dictates was pushed the economy and drives up on the soviet. business. >> i would add to that. in addition to the supply chain, standards adjusted in a per se, if the whole different direction, so be it. the ideas evidence-based and how collaboration, you know, you're seeing a lot more manufacturing they sober, analytic look at operation, manufacturing reality and the capacity to be supplier collaboration, nimble inconsistent with the partnership and electricity vehicle with has disa and small healthy economic and healthy environmental future. vehicle production in mexico look forward on hybrid systems >> i think that's a great for trucks with bmw and other prescription for a whole lot of regulatory systems, which makes technologies. i think that's another result of me turn back to gina here and to chew on the spot a little bit. the landscape we're seeing and the drive to reduce cost to
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.. improve scale and spread the costs out, you know, among well the greater number of convenes -- vehicle in the field. i think it's another key aspect. >> another question over there. >> hi, bob -- [inaudible] advanced biofuel u.s.a. give fact that the fuel economy standards aren't fuel economy standards -- [inaudible] said previously about trying to get more drop in fuels to the market would seem to be a way to achieve that standard. if you're going forward in the mid course contradiction, you know, 40 miles per hour with the total renewable meets the goal the uniqueness about this rulemaking is that i think we were able to work anyway. so i would like to get your collaboratively with the epa and comment on that. also, given the fact that the d.o.t. and with the california new turbo charged engine to resources board. we. we have the technical expertise in this area that we have grown operate peek efficiency need for decades together. higher combustion and of course
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contain. do you have any thought to and we did not establish this rule on the basis of any ideals. having a new fuel through tier three that would have the higher we establish this rule on the of course october -- of blank basis of really sound technical understanding of what technologies are in the marketplace and what technologies will be readily you're points are excellent ones. available by 2025. we understood a great deal of i think try to address it to be clear we support the drop in can what the costs associated with those with e. and what it would mean for the consumers. be properly processed not just arbitrary produce drop in. we spent a great deal of time we have to do it open-mindedly. looking to make sure, and what we saw and 2025 analysis was that the vast majority of the improvements are going to be delivered through gasoline and diesel vehicles, the ones that people are comfortable purchasing. they don't care that the fuel injection system is more efficient or their transmission is automatic. with a specific of course what we actually estimated is the standards will be driving contain that is dangerous the the vast majority of same carbon tanks. improvements across-the-board in gasoline and diesel. yeah.
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we could do better with better you can get almost to go by 2025. design fuels, that's for sure. billy king we were looking at is the potential penetration rate octane is very important, but of 2% of electrical vehicles, 5% what we need most is we need to of hybrid so this is not have narrowly specified fuel so anywhere in epa fantasy world trying to distake that to the we can optimize to that fuel. it doesn't make that much market. was looking at what the real difference in ox ctan. market means in what consumers we can improve maybe not as need to see. i guess the only thing i would say is that this program is already started. much. >> i agree with that. my one concern is that to the already 20% of the goals me 20 sixteenths dander to. extent we have classified fuel did we miss? did we set our sights to love? actually no. we design optimized fuels around. it's going to be available in once you engage in a the market. and, you know, so there's talk collaborative way with the industry sector and in this case in higher level whether it be automakers, they drive alcohol, ethanol blends or improvements faster and cheaper than we ever estimate and we are others to increase the octan in looking forward to this the fuel and improve fuel continuing. economy, you're talking high >> can you tell us about the auto manufacturing industries up. that would distinguish it -- you better have the fuel
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available or else you'll see high gasoline prices or behavior that would distinguish it from other industries you would be -- waivers and operating on the optimal fuel in the market. having similar -- >> a question over here. >> yeah. [inaudible] ron, green car journal. >> a partner in crime. i see a difference in the fact the discussion about hydrogen adds a future fuel, robert, i that the global auto industry has been positioning itself for know honda has had the civic g x a long time to deal with fundamental demographic changes and the natural gas our 2012 that come about because we live in a global economy and because census. it was assembly line produced the way consumers buy things are different. starting in '89. i think it would be more challenging to be in the auto you're standing alone with a dealership business right now than it ever has been, not just passenger car powered by natural because the the of the cost of new vehicles and the fact that gas. honda talked far long time about there are so many kinds of h2. the transition from using a vehicles out there that you have to understand that because the natural gas fuel to hydrogen financing is different. bhap is it going to take to get people are used to buying cell to that point? , i mean, you have the clarity, phones where you pay for the minutes and you pay for the use, not for the machine. the machine is incredibly a wonderful car, like the expensive and people pay to use natural gas. that traps suggestion to it that way. hydrogen fuel. younger consumers in many instances don't have the dream getting consumers to put the
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of buying a car in the way that infrastructure together. what are we looking at to make they use to. it realistic? they want to be able to have transportation but they are very happy to belong to a club where >> yeah. so as i said earlier natural gas is a great feed stock for they can get the use of the car hydrogen. when they want to or use these hydrogen can be made in so many apps on their cell phones that bring the car to you wherever different ways, you know, one of you are, whenever you want it. the favorite ideas is, you know, these are all advances that are happening with no policy intermitt power at night which can be converted to electricity direction coming from the government whatsoever. but i think as an industry and and hydrogen. partly because they were faced there's all kinds of ways to with such a horrible situation make hydrogen. the problem is two-fold. in the early days of the infrastructure is getting the cost done. recession, has really begun to they are promising vehicles, and embrace a more holistic view of costs are coming down but it's the business that they are in. but i really want to underscore what gina said. the standards that we have challenging. i think most of the industry adopted that we are living with seems that there's a great right now in and of themselves do very little to push in the opportunity starting to direction of the kind of advanced technology vehicles in formalize in california, there's the sense that people would a proposal there for an estate experience them as something different than what they see now
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to help build infrastructure up >> tell me what the next to about 100 stations of a consumer -- my son is going to hydrogen, and we think it's be looking for. >> i reluctantly endorsed the going to be the right mix for data that talks about younger automakers to bring forth higher people which we define as people quality within commercial volume basically 26, 27 and younger and of fuel vehicles. they really are getting their driver's license later. probably in the 1517 ton frame some of them don't need their driver's license at all. if the infrastructure can it makes my heart to hear that, materialize. so i think we're optimistic it. but they really are changing we are supportive of bill in ability. california to fund those it's not just about affordable ability. it is about changing ability. stations. right now there's a handful of as mary said, and you know it's stations out there and mark -- more planned and frankly until we see the strong signal, it's a very geographically diverse hard to kind of get the momentum country. it's amazing the differences and behind it. the demands on a vehicle in >> person over here. alaska versus the demand of a teenager has on the team -- >> dr. sam hancock. teenager in manhattan. [inaudible] what we are seeing is within i want to followup on the last
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those cities and within places two questions. you look at the continued where it's practical, many warming of the planet and climb people really don't have an change, what is the intersect interest in owning a vehicle. between the manufacturers we are growing up, we owned it. industry government and the consumers as far as addressing we collected things. this? it's a reality that is coming on we had cds. i didn't, but some people had adds very fast and definitely by eight-track tapes in here. 2050. how does that fit your plans of but you collected things. [laughter] you cafe standard? my older brothers did. you know you collected things. >> well, let me take a stab that you collected movies and it was the. all about your cd collection and now it's all on a teeny tiny the, if you look at the goal of the reducing our transportation little phone. everything, all your movies, all your music, all your contacts, everything. they don't want to collect co2 by dramatically say 80% by things any more. they don't want the responsibility of the card. they. they are more than happy to 2050, then the big impact has to share. be felt in the new car. my first car, nobody was allowed to drive that thing. the new car fleet eventually turns over and becomes a part of and now the idea of car sharing the car park.
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is so foreign even 10 years ago and actually where these standards are for 2025, is on a and the changes been really incredible. path toward that, and i think there is about 80 million people under 35 years old in this country. they will change mobility for us that in many ways, customers do they are changing it organically, which is my favorite way to do this because not have to be aware of this. many don't have the unintended consequences that i want to we have an industry, we have avoid so much. policies that are driving us so there is definitely a change combat not only about the along that path, and but i think affordability and ability but how people are approaching in the future, as we get to the mobility and where they use more stringent part of the public transportation or where they can use car sharing. curves where at least today it looks it's going to be more these are things that are very very appealing to them and these expensive to meet those. people are different than you i think in the future we're going absolutely have to have and i. broad consumer support. [laughter] so we have to counter that. if you didn't have consumer i will tell you, they are going support you can't make a policy. and you certainly can't have vehicles that people respond the forecast for automobile to. but i think for the near term, purchases going outbound.
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i can't tell you the exact amount because we haven't made we're on a path that is going to public yet but it's not an insignificant amount of volume and we are lowering it to cousin be very helpful and certainly of these mobility changes that we see in consumer behavior. the first few steps there, and >> how does the industry respond to this? taking lot of isn't asking a lot >> there is no question there's a change in patterns and of consumers to make. >> time for one more question. attitudes about low bill of the among the younger folks. i think sometimes we have to >> [inaudible question] >> mike jackson, the ceo of auto analyze. the reality is we are selling -- nation declared what we call the and -- it he give or take -- moment of truth. i think we have been talking about in the first panel and the second panel today. and the moment of truth he describes it is when the 15, one time and that should be consumer comes to the showroom a fairly stable number in a stable economy and a stable floor and -- with the bean population over time. if. if you look at it globally, in analogy early jeer mentioned this. the greenest of the green person who wants to be a patriot and get us on the petroleum standard 1950 they were in the 75 to looks at the combustion engine,
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80 million unit range of that will go up north of 100 million looking at the alternative energy vehicle, and when they see the price difference forgets fairly soon mostly on the being green. remembers he's a capitalist and strength of china and india. goes for the cheaper vehicle. worldwide mobility is gaining mr miss steam and there's no do any of you, as manufactures, question within that mix of i recognize you're not numbers there are different patterns and different economists, have any sort of percentage of fleet penetration tendencies. i think the most profound thing where all of the alternative for the kids this connectivity energy products kind of have a and that is is an issue we will all have to wrestle with is water shed moment where your connect the city and the car a good thing or a bad thing? costs aren't able to be defrayed thirst no question that the such that they come more in line phone for someone who is 25 is with a combustion engine and that's the point at which all of an extension of their brain and an extension of their brain that these technologies become more they don't want to yield when they get into an automobile. viable? >> that's a tough question. for. i'm not sure if there's a single for some, that is a challenge because it's a distraction for answer in term of the technologies. let me say this, and -- others. it's an asset because it provides information that is [inaudible] directly answer this. going to diminish congestion and which is going to save fuel. [laughter]
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yeah. what i want to say is, you know, so it's a double-edged kind of sword. we have to find a way to deal with that in overtime one of the my opening comment we talked challenges we all have is the need to forge a consistent about the strategy, and in 2012, the calendar year, 16% of our policy across agencies within agencies that deals with connectivity in a fashion that toyota fleet in the u.s. was hybrid. yields the maximum social value it's taken twelve to thirteen which is information, reducing years to get to that level. congestion and saving fuel. hybrids are a key part of our business now. they are a key contributor to >> mary, this is a good way to our business, and i don't know talk about how to broaden the concept of mobility. if that you know what that says i am interested in your thoughts about other technologies such as electrification or hydrogen or and california is in some ways a leader in this area. your thoughts on the impact of other so-called alternative or mass transit when it comes to advanced technology. but that's one sort of learning point, i think, in and barometer mobility and do you need to have the same kinds of environmental concerns and also how to make the industry itself is only 3% the infrastructure function in a when. technology and there's a long smart way,, smart in the way to go there still. connectivity way. >> you know, it's --let look
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>> it's a little bit ironic that california which is really built by the railroad is now rediscovering rail and looking back a little bit. at ways to invest huge amounts you know, forty years ago, forty of money in not only adding new years ago, cars were pa luting rail lines and high-speed rail in terms of smog forming in in the central valley where all the major growth is occurring in missions about a thousand times more than they do today, and our state, but also looking at they got about real world terms ways to electrify at the rail. i've mentioned before the issue of fuels and the big challenge maybe half fuel economy they get that we face really in the area today. of unknown is the fuel of the future. we can specify environmental and now we're looking forward needs and we can talk about from here and saying where are we going? standards and so forth, but we certainly did not control what well, we solved an incredible kind of discoveries are going to problem and the tail pipe come on line or what is going to emissions are nothing short of be the impact of the major new revolutionary, and that was done developments of oil and natural gas when it comes to the choices with to a large extend invisibly that consumers will make about to the consumer.
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what they want to buy and how they want to use those vehicles. and i think from -- [inaudible] i think what we can do as they we are very optimistic. stated what every state does is to work to try to find ways to it's very challenging. we don't expect there to be any fix our infrastructure so it gives us the biggest bang for technology as incredible as the the buck economically as well as catalytic converter to come environmentally and to do that, we need to look at where we can along to take care of carbon, but there is a portfolio of be investing so that we will technologies in the showroom attract the kind of businesses that we want and do it in a way today for wide variety of that will keep our add to the manufacturers. ten years ago, it would have desirability of the state as a been very hard to go in and have place that people want to come and work. the variety of choices that there is no question that younger people and to some these very green customers could choose from. extent all of us are looking at and today there's a lot more product. i don't think that's going to commuting distances and time differently than we used to, the stop, i think innovation is going to be the -- is going to desire for the suburban style of be impacted -- innovation is living with a two-car garage and always what consumers expect when they come to the showroom
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so forth has drastically receded and buy a new car. and that's not just because of the state of the economy, i think that in the next, you because things are now bouncing know, ten or fifteen years, back in california. we're going see a lot more people are still choosing to look at more compact walkable clarity where consumers are nows -- focusing it may be in ways we transit oriented kind of communities and those cities and don't expect. regions are coming along and for example, when you drive a vehicle that has an e electric trying to provide people with that kind of service that they motor instead of an engine, it want. has difference performance fortunately the people who build cars also build a lot of other characteristics. it's fun to drive. it has a lot of low-end torque. kinds of transportation vehicles, and the cars themselves can be operated in there may be attribute for the new vehicles that are more ways using information systems important consumers than their and smart roadways and all of that make them more like a environmental attribute. public amenity then we think of we have a poll from the mark and a lot of problems get solved. cars today. i think we have to be so i think part of what is optimistic, keep working hard, exciting about all of this is get cost down, and don't innovate. that there is a lot of >> i think that sounds like a private-sector thinking going on and this is not just government good final word. i want to thank our panelists people or think-tanks and universities that are doing this for being here.
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kind of thinking. [applause] we have had interactions with a [applause] number the number of auto on the next washington companies that are investing journal, a look at the u.s. auto significant resources and kind of trying to gather together the industry. we'll discuss how energy and environmental policy effect the best minds to look at what the city of the future is going to industry. preview what is expected for car sales this year, and talk about be like and whether customers are going to be and who they are auto safety in federal going to be. and that kind of thinking i regulation. really think is what is going to get assault towards a set of .. standards and regulations that work with the earth. >> i want to open this up for questions but before he do that i have to ask my journalist question to gina. this is a soft one. it's not a gotcha. some of the leaders in your efforts are either departing or have departed already. what is the impact of the departure of laid -- ray lahood and that lisa johnson has
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and -- [inaudible] is the first of all both ray by the time we hit the second world war, we were right around lahood and lisa jackson are to be commended for their leadership on this. 2.1, 2.2 and immediately after, this account would wear sturdy. they forged a marriage between the epa and d.o.t. that really benefit i think all of us, and as the baby boom. that partnership will continue. but i will say that as good as that's a term which hates us. it really was a remarkable labor -- ray lahood and lisa moment. it is quite high. jackson, it came from the he .7 i think for white americans for victory 3.9 black president of the united states and president obama's going to be here with us as we continue americans. not only did jump up, they these methods and as you indicated to think about how we stayed up until your generation. use the same collaborative approach to look at where the market is heading and how do we people change the lives of her generation. take most advantage of that 1970, that momentum saw not a working with the private sector and those that we regulate. that is going to continue. gradual dropping off the cliffs. >> i think if you can wait for a microphone which is in the back here and also if you can identify yourself, that would be
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great. >> hi. i write the weekly newsletter >> tonight, nearly alike that and no one here is talked about the gas tax. i'm sure you have all thought about it a lot. montana governor, trained to keep the state of the state plenty of studies have shown address. to discuss the state budget, early education and health care. consumer willingness to buy this is 45 minutes. fuel-efficient cars is tied to lower prices and gas or i should say higher prices and gas. [cheers and applause] congress obviously is in no mood to raise the gas tax right now, so how do we deal with that to chair mac make consumers perhaps more willing to look at fuel-efficient models? >> an excellent question. [cheers and applause] who wants to take that? [cheers and applause] >> i will be brave. i think when i think about how do we get consumers -- it's nice to see you. we have talked on the phone a lot before. when.
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when we look at getting these >> lieutenant governor walsh, consumers, for me it's about educating them on the total cost mr. president, mr. speaker, members of the 63rd of ownership and what that means legislature, governor and for them over the course of the life of of the vehicle, whether they are in a lease situation or mrs. babcock, honored numbers of the judiciary, my so statewide they have purchased a door there is a 10% that -- officials, tribal leaders, it's understanding the total, members of my cabinet and my and i also think -- fellow montanans. one of my girlfriends lives in lisa, caroline, alex and new jersey. they. they don't have to pump their own gas. they do it for you there. cameron. my name is steve and i work for she moved and she was horrified. the state. you have to put a value on having an electric car you can plug in at home. [applause] you are not paying for gas and back in 2008 when the gas spiked and we were throwing in $100 a i like those 12 dozen other tank full and he do that a errors arrived at the job site couple of times a month, that's each day to serve the people of a lot of money. educating them and understanding montana. it's an honor and a pleasure to what it means to drive, whether be the public servant entrusted with giving this address.
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it's a fully electric vehicle or something like the chevy volt. one of my friends put gas in his any changes of administration naturally will bring changes to bold and august and december. the governor's mansion. changes in substance, changes in that is pretty darned appealing to me. one tank of gas. he goes home every night and he style, changes in perspective. plugs it in and drives to his office and back. with the bullocks moving into the neighborhood, some changes are at vertical. that is an incredible amount of now, it's been 40 years since money saved and that is direct into your pocket where taxes have nothing to do with it. the predominant noise emanating from the governor's mansion has that i think is one of the key been the sound of children. elements and i look in the metro new york new york area where he children laughing, singing, lived in a look at all the cars at the train station and they shouting, playing, just being are using public transportation but they are driving from their mansion to the train station in kids. that noise will be a daily reminder for me and i hope a reminder for each of u.s. file a 15-year-old suv because it's a train car. of the reason we were sent here. understanding that you know if you drive -- montana voters sent us here to because they all live within make our children and grandchildren's future brighter, town. if you live in sanford you're using the stanford train more hopeful and more prosperous station. year of the state of montana.
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taking the lead for the mitsubishi or whatever it might be from your mansion to the [applause] train station and then to your job in manhattan, how fabulous now, if we're genuine and are is that? concerned for her children's and translating that into people future, will be as careful with the state's money as we teach our children to be with tears. understanding how that could have a positive impact on your wallet i think is something that we have more of her if we accept that this is more responsibility to get the word out to the suburbanites in the about their generation and ours, will enter this building every world that have that a to z single day trying to make it so they have even greater commute and they go the same opportunities that each and place all the time. every one of us had. >> i want you to weigh in on if were truly committed to this but for anybody who can making our children's future talk about the next step when it comes to federal financing which brighter, will invest in our education system. for before they enter kindergarten to the team elite is the sense of the vehicle miles traveled but not the gas, higher education, we must prepare them to succeed in a 21st century economy. the sensibility that i'm getting and if we are sincere americans from congress but also from turn for the next generation, consumers. people are not ready for that. how we deal with one another i. i am not sure that is true. i'm just interested in whether
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matters. not only turning the session, the industry is ready for that. the threat became pain to bring >> this is another tough us two of these positions of public trust. question and probably another everyday our kids watch what we hour panel for the gas tax. do and every day they learn from i do want to comment quickly on a couple of points. us. some members of the 63rd legislature, what i ask of you tonight is simple and and auto index where we talk to consumers about -- straightforward. and ask them what do you intend first, be responsible with their to buy with your next car and budget because i won't allow us when do you intend to buy that to spend more than we take in or car? we started this in me and from may through december there was make cuts undermine long-term stability. basically zero shift in attitudes about what they wanted second, join me in focusing on to buy and as we look at gas creating jobs, improving our system of education and making government more effect it. prices, gas prices fluctuated 15 or 20% in that span of time and and lastly, acted in a manner there was no impact on buying that were not ashamed of our behavior. you can look at that two ways. children watching because they one as you can say that consumers aren't very smart and are. we have to educate them. i'm taking this principles to i know, but the implication is heart. and we've already hit the ground running to create better jobs, better schools and more effect
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that if we informed them they of government. will make wise choices. a company recently came to or we can say they are going to montana and said goodbye to look in in a manufacturing city, but the showrooms and buying a new car and give the average age they needed a workforce ready for the high-tech betting they cars 11 years old and they are experiencing a fundamental do. he's high-paying jobs are monumental shift in fuel exactly the kind we should have here in montana. efficiency gains, so they're looking at this and saying imrt that's why we with great falls college. the begin training workers to driving this massive value that will help my life. fill these jobs in this company gas prices are fairly stable. is now moving to the electric why should i invest a ton more city. money to get a super game here? i'm not justifying what i'm [applause] thinking. i am saying that's just what's going on in peoples heads. we have some evidence to that. we asked people how much would you spend for 15% gain in fuel economy and one third say not a penny. one third say something under i think the program also ensure under 2011% say somewhere high schools in great falls can between two and $5000 and a fraction over 5000. graduate with certificates that
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would make them attractive there is a daily serious cost candidates for the company as well. so not only is it better job, dynamic here that gets into the the better education. at the tulsa to bring to market buying behavior in the last new government to montana and we point really is, the most important thing we can do is get do not already as well. people to buy new cars. we want them to buy super tomorrow for the first time ever, montana's check book will fuel-efficient cars but we want be online. them to get new cars because they are safer, they are cleaner and they are going to save a lot of fuel. [applause] and. >> if everybody would buy a brand-new car today it would be an incredible savings of fuel and that is the point. the premise of the question also there is an assumption i presume bubble has is a searchable database so anyone in siena or that fuel prices will continue to rise like we have seen them anyone across the world for that even though they have been stable recently and i'm just not matter can look at how we're sure if everybody -- spending taxpayers money. it's the right thing to do it up a lead to more effective that maybe one of those life-changing things in the next 10 or 15 years that totally government. other somethings i can changes things. accomplish it that your active engagement in partnership, there fuel may become more affordable. i don't know where that leads us are other areas where we need each other.
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and we don't know what we are meet each other for going to going to be dealing with in the make progress. future. that is why mitch what you said crafting a budget is one of those areas. about the midterm review, i montana is the envy of other think that is so important because if we have the robust states. our unemployment is lower and our economy sounder while every midterm review and that the data take us where it should take us, other state's budget is in we are going to be much much better off and make much better writing things to sell solid decisions. the closer we get to that the fiscal management, half a shorter time we are forecasting out and the more accurate the predictions will be and the billion dollars budget surplus. better the policy will be. our state is strong and going >> a question over here? stronger. >> with the k street alternative energy strategies. [applause] i fed question for assists in ministry to mccarthy and that is last week d.c. circuit court to continue improving our of appeals issued a decision position, i didn't montanans vacating the sale of ethanol honestly take a a balanced targets under the fuel standard to which was set up by congress approach. under the energy independent let's invest some time with give some back. saving out to be simple. security act of 2007 and address issues of the although upheld most of the legislative session at the rainy parts of the fuel standards too. day fund. enough money so i don't have to
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call you back in a month or year i was wondering what your reaction was to that decision from now. that means we have to prioritize, just like the and to cup whether epa is going to appeal that and thirdly families do any cheery generally the upcoming congressional debate on the districts. i'm products montanans need and future of the renewable fuel standard's? thank you. the long-term liabilities that >> thanks for the question. it opens up a whole other can of worms that we could talk about a this before we arrive created for us. keep in mind that if i pull out lot but what i will say is that we were disappointed in the my veto pen, it may not be decision. i don't have any news for you on whether or not we attend -- personal. they may just be fiscal. and tend to appeal but the we can also invest some. decision was very narrow one. is basically said that we were looking actually too closely at i ask you to join in prioritizing job creation, tying in the levels we were education and a more effective projecting for cellulosic. government. i'll start with the twofer. the first step you should take too much to the goals that in creating jobs and advancing congress intended as opposed to the direct data we had in hand. education is to put politics aside and pass the jobs bill. we will be listening to that decision regardless of whether we appeal it and up it will be [applause] moving towards the standards that more closely are tied in
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with directly underpinned by actual date on the ground. [cheers and applause] but the good news about that decision is it didn't reduce the amount in the system. ultimately. ultimately it has a very narrow sometimes all it takes is one. impact and it's something that as montana's comorbid reputation is -- we are going to continue for rick and heard that to look at and be consistent counterpart than any other state with beginning with 2013. in the country. the quality of our workers the track here. but we can expect to develop a but what i would also tell you is that the exciting thing about 21st century workforce in the renewable fuel standard is all of us really wanted it to 20th century conditions. generate cellulosic. that is what we were looking for the next generation of plumbers, and we have cellulosic now. we have issued our first -- welders, nurses and imaging tax, which is very exciting and we diesel mechanics and carpenters have really good data in terms really are learning their trade of identifying the industry in substandard facilities. moving forward. so we have turned a bit of the this is a college was built in corner there that we are hoping 1956 for 700 students. it now has an enrollment will continue to grow. >> in the back here. approaching 3000. last week i visited the >> marked with channel designer. two things. automotive and diesel programs that has 200 students.
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first, i think you completely missed the tax question. 100% placement rate in some i think the answer drifted off in a different direction and he didn't talk about if gasoline graduates learned a salary heckuva lot better than the falls down and percentage of fuel in the gas tax stays flat governor. [laughter] go with that investment, the where are you going to get the ravage do the road were? program can't continue to grow. you had interesting comments but and it's not just mozilla and you didn't answer the question. hopper. many facilities are operating the second thing is you are beyond capacity. talking about electric automobiles and things like that these montanans are willing to like the electric grid can invest in higher education handle electric automobiles and really do deserve better. the power plants and there is that's five representatives galan and i along with groups the capacity in the state public utility commissions are supportive of expansions in both like the montana chamber of generation and transmission commerce, so many others have which some of us in the field don't see. joined together to propose record investments in educational facilities. so two parts to that. it's called the jobs bill, which >> anyone want to weigh in on that? >> let me jump in if i may on stands for jobs and opportunities by building the state of california because we do have a policy coming from schools. we can take advantage of historically low interest rates and immediately create thousands the governor but also the public utilities commission and maybe of jobs across the state. even more surprisingly to some
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and we can do it without raising of you the independent system taxes. operator that funds the grid. we of course are leaders and the [applause] construction of new renewable energy generating facilities in so please, let's stand together california but we still import a and let's stand together with over 2500 construction workers. lot of electricity from outside of our state including they want to pay to world-class coal-fired electricity and we see the use of electric vehicles schools across the state for a workforce. as evening that out. and while radek, plus make sure we know we are going to need 2500 plus construction workers some more natural gas fired generating capacity to support building plates a jobs bill are our friends and our neighbors. all the renewables we are putting in our system but ultimately we believe the only right now we have a law in the way we are going to our air and books at the post requires a staff of the workers on any climate goals are through a construction project funded by system that incorporates a lot state or local tax dollars be of plug-in plug-in vehicles. another works not just something montana residents. we are accepting because it should happen. it's not enforceable. it's something that we want to see happen because it will make the whole grid operate more with taxpayer money, it's on a efficiently on into the future. project. this but montana companies in montana workers first. [cheers and applause]
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i am going to do it. i will. gas taxes are in something that any elected official will go out and advocate for. they are not mainly because we don't believe in taxes as a way to induce behavior in this country. again, together we can work together to close these it. it is a fundamental precept that we don't ask people to make them loopholes, expand the requirement to all projects, not just construction. stop doing something, artiles we don't do it offense and certainly when it comes to driving large cars. it's also significantly industry having said that, because i work workers required on any state or for governor and have worked locally funded project. with the same governor before, i i hope you'll join commander can tell you that we understand the need to get revenue to curtis and i to pass this operate our transportation measures we can put more money in the hands of montana businesses and create more jobs system and we are looking at ways that we can do that are for montana workers. as we put montana companies and more equitable and less targeted workers first, we must not forget the first montanans. than any one industry. our approach has been to focus on carbon. in my budget i propose full we have this many people know, a funding for country economic development. i also insisted that the funding cap-and-trade system for major emitting sources which is going become permanent. to bring fuels under the cap. so year after year, american that will mean that the people indians don't have to come who make the fuels will be
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paying a price for the content asking for these job creating funds. of the fuel but it's based on unfortunately, the first few the fuel. weeks of the legislature funding has been cut in half. it's not based on the volume i ask that this body, if you're serious about job creation for driven -- all montanans, restore full is intended to focus on the thing that we need to use less of which is carbon. funding for indian country >> we have time for one more pic question here in the front. economic development to make the offending permanent. >> we representative for idea of [applause] technology innovators. quick question for gina and mary. gene of the two or three and proposals seem to be making process and first of all congratulations and it's clear now we not been investing in our that not everybody is on board students in educational so some sense of how the road ahead looks on that. institutions requires more than the bricks and mortar in a jobs you reference number times the bill. for generations, our education fuel piece of this puzzle, the low-carbon fuel standard is facing litigation. system has been recognized as the key to economic growth and job creation. for both provisions the uncertainty for technology the public schools are more than innovators is a real challenge that. they are truly, truly the great equalizer regardless of where we
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seeking investments for the next are born or how wealthier generation of technologies. can you comment on the path parents are, our public schools forward to these in your sense opened the doors of opportunities to all montanans. about things you are doing individually to help provide even help the kid who couldn't certainties to investor's? and still really can't stand >> chris let me jump to the still to become governor of the first part of your questions greatest state in the country. everybody is familiar. what. what chris is referring to is another generation of [applause] requirements that will look at improved vehicle emission as the father of a fifth and standards as well as lower second grader a kindergartner, standard synfuels. it is an attempt to nationalize no issue is more important than extending the opportunities afforded by good education to again fuel standards. montana's next generation. our school is an incredible teachers to educate our kids california and others are out in front of this and clearly other give us much to celebrate. countries are in front of lower sulfur fuse. there is actually a lot of on 10 eighth-graders outperform every other state in the nation. moments him and for moving in reading and math and second in science. forward with a quickly. chris is referring to the fact that it's being reviewed it is [applause] in the interagency process. we expect to put that rollout in
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march. the idea is by the end of the our high school graduation rates are up and our dropout rate is year we know automakers are looking for the availability of that low sulfur fuel not just down and were increasing the rate at which montana resident because they are ingested in are getting college degrees lower emitting vehicles and faster than any other state in the nation, but were not done. cleaning our air and public health benefits that will be so it's not where we start. important for all of us but also it's where you finish. it allows them to have different we know an educated workforce is the foundation for prosperous technologies available in those vehicles that will perform and allow them to meet these standards and other standards moving forward. economy. so let's actually commit to that again will be so important increase the number of adults to all of us. with a postsecondary degree, professional certification. do you want to jump in there? let's commit to 60% over the >> we totally agree with what gina just said about the next decade. advantages of nationalizing. that's an ambitious goal. for about 40%. we have a number of states that have adopted california's but the future of the state will be shaped on the schools and standards so california vehicles are making their way throughout the country, but we need to have what are workforce is. cleaner fuels available in tier 3 is an important piece of i've asked the commissioner of higher education teacher named making that happen. committing to the school. i asked the same of io because
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i think the way we do that is we can't do it without you. through putting out planning this is one of those schools documents that are matched by a that we are in it together. regulation and having a program i've included proposals in the where we bring together all of budget that move us in that the agencies in our state that have an impact on investment direction. offering college classes to more high school students will help them recognize higher education decisions to send the clearest is within their reach and will possible signals about where we are headed as a state. give them a jump start on earning college credit. i think this has been an that's why must you need a help her two-year colleges expand and important hallmark of governor brown's approach to policy and enhance this dual credit programs. if a student starts at thailand, we are definitely seeing the benefits of it in terms of the investments that are coming into you shouldn't have to reapply them to different financial aid if they want to take classes or california for clean fuels and clean vehicles. transfer. we are facing major pushback on we can make it easier for the part of the petroleum students i finally creating something that should've been done a long time ago, a industry against the low-carbon universal system of enrollment. fuel standard. interestingly, the lawsuit that you mentioned was actually brought by midwestern corn they have access to courses at ethanol producers who objected to the fact that we use a montana state university. to help reach hundreds of miles lifecycle approach to accounting between a rural areas and for carbon content of fuels
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universities. i ask you to pass that. which discriminates against out-of-state fuels. as it turned out, and honest [applause] accounting of the lifecycle cost reveals that many of the midwest ethanol producers were able to and we are worried to introduce actually come and with lower more college graduates at the numbers than some of our domestic producers, and so the cost of college is beyond the reach of montana families. factual basis for that case has let's not kid ourselves. kind of the road underneath as cautious as this body is them. about raising taxes, with but the idea that california tuition increases, education is could get away with pushing the an adequate funded. m. globe on the carbon content of our fuel supply is something that i think will not go as attacks on tens of thousands of working montana families all unchallenged and we are going to continue to have to defend the across our state. need for that in the value of it to freeze tuition across the from what we are seeing so far, we have done well in our efforts university system. i urge you to honor that agreement. in the court. [applause] never to be taken for granted, but we do feel that they can
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implement the system in a way that will bring the cleanest many college students have fuels to our state and show the returned home from serving our country in the armed forces. benefits of having them there. >> that will have to be the last these soldiers, sailors, word. thank you all for joining us and marines, airmen and women must i believe we have a break. know that our state will do what it takes to help them succeed. [applause] so thank you very much. >> thank you. this morning i went to the airport and there is the first montanans to get to oakland 45 soldiers from the mind can a national guard who had just taken a year of their life and spent it in afghanistan. >> amy said they'd will moderate i told them our commitment was strong and the lieutenant a our -- and is a governor walsh tonight would correspondent for national insure we live up to the promise journal. amy moderates a popular energy that all of this made saddam when they send out. experts blog. since coming to "national journal" in 2,000,008, amy has if i asked the legislature to covered a variety of topics invest in our university system including foreign policy, and make certain we provide national security letter clever to rising and the election of services and space to meet veterans mean. the new supreme court justice. the wraparound services to reintegrate his heroes back into prior to nj she was a staff civilian life and onto our writer for the reporters college campuses. committee for freedom of the when i got back to the airport i
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press. found that while i was gone a ireport from the automakers panel will include, and i would love you all to be able to hear committee cut services for these folks names as i introduce returning vets. i urge you to restore the funds. them. by that to the promises they've made and welcome these warriors robert bienenfeld senior manager environment and energy strategy product regulatory office, home with more than just words. american honda motor company incorporated. reg modlin director of [applause] regulatory affairs chrysler llc. tom stricker vice president predatory affairs in energy and environmental research, toyota motors north america incorporated and amy, if you would like to get started we and now, if we're serious about will try to get the audience to training tomorrow's workforce, quiet down. our commitment must begin now >> thank you for that great introduction. when our kids first enter we have two out of three of our college or not when they enter panelists so i guess that is the the workforce, but her two-thirds majority so we will commitment has to begin when go ahead and get started. they first enter the world. i think that was a great we can't wait until connector to take an interest. the evidence is compelling. discussion with gina mccarthy and mary nichols and the other experts on that panel. i want to take the big picture every dollar we invest in early
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and talk about the two sets of childhood education returns it regulations that the obama to $9 communities. administration proposes and finalized in the last four years. early learning programs work. it was certainly a busy first children involved in early term and now the next four years is really where the bumper hits education to better not english. they're much more likely to the road. crash of a high school. i would like to ask each of you they are a third less likely to to talk about what challenges and opportunities he sees and be arrested as a juvenile. the -- unfortunately montana is dead last in the nation. up until at least 2025 about how your companies are going to simultaneously meet these fiftieth out of 50 in state standards and also sell the cars investment in early childhood that you're making. why don't we start with you, tom education and to me that's done except the role. we can't expect headstart and at toyota. >> thanks for having me here today. other programs to carry the first, let me tackle that question by addressing first the entire written. some communities have set dead need for the standards in the to make sure youngsters are given a better chance. first place. the auto industry was facing a we saw a modest investment in a set of overlapping regulations from the federal department of preview program led to a dramatic shift in readiness and transportation corporate average the students in our state on a
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much better path to the future. fuel economy program which has been on the books for a number of years as well as as mary other communities across the state have seen the same. as the first step, i encourage nichols talked eloquently about this body to expand the quality earlier regulations at the program and make a long-overdue california air resources board for greenhouse gases and after investment in school readiness. the supreme court decision on if they got a plan that will greenhouse gases, epa also create 100 more high-quality looked to adopted national early childhood programs, getting 600 more families in a greenhouse gas program for motor vehicles. in an interesting aspect of the test of our children ready for school each year to prevent high clean air act, section 177 return investment that will allows other states also to produce benefits for students adopt california's program if and our economy. epa grants california waiver of preemption to implement the program. so we are faced with the [applause] prospect of two federal programs, one for fuel economy and our commitment can be just which is very similar if not the same as greenhouse gas and in college. it can't be an early learning. another one for greenhouse gases as well as california and 10 or ms continue to escalate appeared 12 or 13 other states in 1980 sutter st. at montana
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implementing their own state legislative regulations. lottery specifically to find montana schools. i don't want to speak for the in the 1990s, the legislature began reading funds for whole industry but that was a large motivating factory -- non-education products. it's time we did right by our factor at least for toyota to bosses and their kids. come to these regulations in the first place. but having said that, the 54.6 i had for you to support my proposal to return profits from the lottery to public schools as they are intended to support. or 56.4, whatever it is, was quite a challenge and i will say [applause] that you know on the previous panel there was a lot of discussiodiscussio n about consumer technology and i think by budget also includes that will prove to be one of the additional funding for the highly successful jobs for keys to this. montana scratchers program. i will say from toyota's view when it comes to some of these they first learned about this program from governor mark technologies for example hybrids roscoe who brought it to we don't see that as an action montana. the graduation rate for at-risk -- issue. teen involved in the program is as. as was mentioned on the last panel as well the total market an amazing 90%. lester for hybrid vehicles in the vast majority of graduates the u.s. was shy of 500,000 thank onto jobs, military vehicles. toyota share that with 55% service or higher education. adding 330,000 vehicles. we see hybrids as the technology after 14 months on the job, the
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that consumers have accepted and tax these kids they have rdp for will continue to accept and we more than the investments we are going full speed ahead in have a state have made. this realm, and i think in please support an expansion of the program. addition to the hybridization you will see different internal [applause] combustion engine technology in terms of downsizing a of additionally, technology engines, turbocharging, direct specialist or global marketplace injection but again some of , but far too many schools are lagging behind. those require improved fuels to make maximum use of those the funds in our pockets are better and had access to some of systems. so it is a challenge. the classes are under state. the midterm review which perhaps that's why i support further will talk about is what will be investing in our schools and using state resources to help the key to make sure the standards are still achievable school districts modernize and the way we see conventional acquire today's technology. vehicles and hybrids as a core we can and will work together to strategy moving forward. invest in and improve our >> robert what do you see as the schools. in making even modest way your companies going to be able to meet the standards and what challenges do you foresee? investments in early childhood education and technology improvements in schools, i'm
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asking you to look beyond the >> so, at the 2025 fuel economy standards are ambitious and we immediate comment beyond the session or even beyond the fully support the goals, the length of time that you and i look at the surge in public office. it's not always easy investing trend goals of reducing co2 and improving fuel economy. now for later returned, but that's what leaders do. there is going to be -- i think it's a lot of people i'm asking you to look beyond upset already, there is going to be a lot of evolutionary changes the immediate and other areas, too, including transforming the way we deliver health care so to internal combustion engines. we are going to see a lot of they can create jobs and take care of those who need our help improved engine technology, the most. transmission technology and reduced road load which is what to have a healthy economy, we need to have healthy citizens. we refer to when we are talking about aerodynamics and weight for those of us with health insurance, were paying too much and getting too little. reduction and accessory load reduction like improved for the tens of thousands who air-conditioning and reduced power consumption for lighting. don't have insurance, the emergency room has become a primary care facility pushing so in many ways that costs for all of us even higher. the fact is subsidizing conventional internal combustion engine is going to be redefined.
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40 years ago we had a 40 year expensive er care costs supply of conventional oil and montana's $300 million a year. what has happened is we keep that makes no sense when they're redefining what is conventional smarter, cheaper ways to provide better care. oil because technology improves. in much the same way, we are directs this helped montana, redefining what conventional technology is going to be for the internal combustion engine. we're proposing an an eight match in a solution designed i think it's going to be for the coverage and access to health care for more money to the families. it will also create a patient conventional technology, there is going to be fairly smooth centered delivery system that focuses on coordinating care and transparent to consumers. improving health, rather simply it will be better, better treating illnesses. implementing measures will allow us to control and ultimately performing, quieter as aerodynamics improves, safer. lower the cost of care from a all of those things that people slowing in the rate hikes that come to expect from cars. are out of our wallets. of a will be more expensive. on the other hand if you look at this is an opportunity to reduce the index of weeks, average costs and expand access to quality care for nearly 70,000 weekly salary to pay for an average new car, we are near montanans.
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[applause] los. it's not as high as many people think and yet we have added lots of technology to improve vehicle performance over that time. so i think that will continue. as we get towards the later years past 2020, we will see a in and out, it's more than that, though. lot more emphasis on sort of the access help will create more newer technology that people than 5000 new jobs next year talked about, the newer technologies that will have to show up in higher valium -- alone by bringing millions of dollars in new economic dignity to montana. it will cut costs by providing preventative care and cut costs volumes like hired hybridization and other technologies. because those with insurance and much more likely to visit a doctor than just visit the emergency room. i think it's mostly evolutionary with the new technologies that are coming on the market today medicaid expansion is federally funded. so if montana does not expand its medicaid program, our tax will play a greater role. >> what about you? do you agree with these comments dollars will be used to help and where do you see vehicle patients in states like arizona,
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technology fitting into this? >> over the last two or three nevada and north dakota, states years economy standards were being discussed, negotiated, at debated and finally put in place have republican governors are leading the effort to expand medicaid. let me make that point of what became very clear that abundantly clear. in this industry we all had the same issue. if we fail to act, montana taxpayer dollars will be used to the conversation with the provide health care to citizens agencies as we went through this thousands of miles away while they rates look to you to go up was never really a technology issue per se. what. what it was was consumer year after year. acceptance challenge at a price it's time we set politics aside the consumer could afford to pay on this issue. or the cost that consumers could afford. that was the big question that's politics won't treat diabetes. the reason that beyond 21 the rules are not certain. extremism doesn't create jobs that's why we need to review so and intransigence will provide we can assess to questions. health care for those who can't are the consumers buying afford it. technology and are the consumers willing to buy the product from [applause] [cheers and applause] 17 out of 25? those are the two questions we are challenged with.
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we will go to discussions about cost of technology and availability of fuels and such but all of those are circuits to answer the other two questions. they technology is going to a under access help montana it's fault. the challenge we have all also doing other things. i also propose 25% the number of accepted to pursue high fuel economy and low gas emissions seats in the winter program which allow montana students to and the challenge is can u.s. attend medical school with other students in the northwest. innovators innovate other technologies to the point the programs been extremely consumers are willing to buy and can afford to buy? successful in encouraging our >> i was the price to see gina montanans to come back to our cities and towns and rural mccarthy and -- communities and open up the about how engines will dominate practice. there hasn't been an increase in the number of slot for the program in over two decades. what the automakers make throughout the entire world. i. i think the goals set elector carswell do very little for the for that and other reasons, tonight i ask each and every regulations will to create member of the legislature to take the longer view, lead the little to push a person toward electric cars even going through up to close to 2025. with that said, what other way by focusing on health and incentives do you think welfare of our neighbors. let's work together to put
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montana's first and use automakers and other industries hard-earned tax dollars wisely. as a whole would need in order to get electric cars and other alternatively fueled vehicles [applause] into the market more? i think right now it seems like electric cars and anything other than gasoline fueled cars, their if that's even view that will biggest competition is each other. allow -- the same longer view i've. i've know right now the prius is that will help montana to lead the most popular hybrid electric car and that's a big competition for these full electric cars so america to energy independence. what you think do you think is with responsible development of going to be needed to get electric cars past the of our coal, wind, oil and gas, hydropower, biofuels and geothermal capacity, we are breaking the bears to compete with this gasoline fueled cars? creating jobs and strengthening our rural economies. >> if i may? first of all, especially here in for some communities in eastern montana, the rapid growth associated with the energy boom washington what we need to talk business created immediate infrastructure challenges. about is the goal, not the that's why he proposed creating a grant program for communities technology. affected by oil and gas sowell case in may be the tool, development. i ask what invest $15 million in providing matching funds to
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it may be the outcome but we affect cities and towns, areas don't need that dictated by that don't get a share of increased revenues the county specific policies. what we need are clear rules government from school districts are safer while gas development. this challenges, but opportunities for the whole state. i hope you join me in addressing this challenges. [applause] [applause] we must also meet our responsibility to fix a long-term problem created by her predecessors. i've outlined a detailed plan that will shore up our public retirement systems can do so without raising taxes. i look forward to working with this body to ensure we craft a plan that honors our commitment to montana's public spirit
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within that doesn't go back on promises made to snow plow drivers, presenters, teachers and other middle-class workers who are friends and neighbors. as i've heard it described to you, saving some for rainy days simple. i also believe we can wisely invest your resources to create jobs and improve educations. with half a billion dollar surplus, giving back some not to be equally simple. i believe are more likely to create jobs if we invest in working families, small businesses, farmers and ranchers shouldn't. in my book, an investment in main street is an investment that will pay off in montana. [applause]
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know some disagree with me. they believe would be better off if we focus on helping multinational corporations that could have their headquarters in pennsylvania, and delaware, bankers in new york, helena and washington d.c. don't get me wrong. other then when they spend shareholder dollars in election, i love those corporations that hire montanans and invest in our community. [applause] i welcome those corporations that want to work with them to create jobs and invest in our state. but when montanans dirty rank as having one of the country's best text alignment in the nation for business, let's never allow this information to be motivation for missteps. but the value of tax rebates and
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tax cuts with eyes wide open. [applause] i propose returning $100 million back to the pockets of montana homeowners. i recognize others suggest we should use the hundred $9 to provide property tax cuts instead. the difference between a tax rebate in the tax cuts is simple. who stands to dataset. given $100 million in the form of a tax rebate will return $400 billion to everyone whose primary residence in the state. when you put a check in the hands of montana taxpayers, they take money downtown and spend it in the small businesses along main street. if you take the hundred million dollars in music to cut cut property taxes instead, the
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average montana homeowner would receive $44 this year. not 400. think about that. it will take 10 years for the taxpayer to get back as much money as they could see with the rebate. get if you're a company like tpn l., to propose tax cut but we were just million dollars this year alone. that's 23,000 times more than the average homeowner would receive. if we consider who stands to benefit from our actions, to make a path we should take becomes clear. we have the opportunity to return montanans, create $100 million of economic activity in montana. the rebate won't blow long-term holes in our budget.
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it was settled future legislatures if future generations what the washington d.c. federal deficit that montanans avoided during this recession. let's not miss this chance. [applause] the same goes for custody business equipment tax on the market value equipment of business owners. the last legislature reduces tax breaks across the board for every company in the state. let's take the next step and eliminate this tax for 11,000 montana businesses. two thirds of the businesses that pay it doing so will directly benefit the street is mrs. in each of your communities. repair confectionary has-been making and selling candy since
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1922. under my proposal of the parent would no longer pay this tax. the windows in great falls manufactures and distributes windows that can stand up to the harsh montana claimant. they can use business equipment tax dollars they been paid to further invest in business. under my proposal, the iron horse also heard that number breathing room in the bottom line. for manufacturers to restaurants to tatters to service providers, 11,000 montana businesses will no longer pay this tax, for thousands of dollars to invest in businesses or employees. we have the opportunity to stand with the vast majority of small and midsize businesses in the state. let's not miss this chance. [applause]
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finally, as we focus on creating jobs, invest in education and making government more effective, but so is behave in a manner that will make her children proud. i've heard it and trying to change the tone in the halls of this building. i hope you'll join me in doing so. i hope you'll suturing me in preserving the integrity of our elections. 100 years ago, our ancestors came together, not as democrats or republicans, but i've montanans to take control of their destiny. for taking montanans newer elections come in the cornerstone of our democracy should be about principles, ideas, beliefs and plans for the
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future. our campaign should be vigorous debates about the problems we face in those opportunities that lay ahead. the new government should be about people, lending a hand to those who need it better in this place that we love, ensuring the next generation has opportunities even greater than we enjoy. i surely think in the last hundred years, since then, leaders have always been friends and neighbors and they have the doubt for entries. in the century following the passage, montana has benefited from a strong citizen democracy. in the past several years however, more money than other has been spent on a political campaign. it was at the national level in here in montana. as attorney general, thought to preserve our democracy and sent the tide of corporate money in our elections.
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[applause] [cheers and applause] we've seen the rise of turkmen groups, the target candidates yet refuse to tell the public who they really are and what they really represent. they hide behind made-up names in major newspapers. they operate at it po boxes or washington d.c. office buildings. they falsely proclaim themselves regarding ahmad tanis traditions. these groups believes he can violate laws and corrupt government to create a system that benefits special interests. montanans deserve better.
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[applause] the entire nation is looking to us to continue our fight to preserve her citizen democracy. we see this as regular, all of you from all corners, committing time and energy for 90 days here. other states are astounded. other states don't always have the citizen democracy and the legislature we have. we can show those people who believe the elections could be and sold what democracy really means. its government for the people, by the people and of the people. help me reform our laws. homey do so so any organization spending money during the course of an election reveals the amount i spend in the source of
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its many. this is a modest proposal. hope they make sure voters and investors know who's been doing and how much. together, let's guarantee our elections will never be auctioned controlled by anonymous bidders. [applause] and they think i'm looking for truly we are nothing less to those ancestors from 100 years ago we are nothing less to her kids will inherit the government that were running today. there's an old saying that if you don't know where you're going, any road will get you there. we do know where montana must go. better jobs, better schools any
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more effective government. we have a lot of work to do, but tremendous opportunities lay ahead. let's use our time in office wisely come each and every one of us. let's build on, but not be constrained by the progress of the past. that's a resolute in keeping our focus forward into the future. and indeed if any one of our terms, yours or mine, we will be measured by the progress being made. and the true measure won't be politicians or will be taken by pundit. true measure will be by our children and grandchildren. let's not forget it's too bad we are most accountable. god bless montana's children and families. god bless montana, god bless america and thank you for letting me be before you this
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evening. [cheers and applause] >> georgia o'keeffe is really the first well-known woman artist and even well into her life in the 1970s, there is no one who could match her fame and she became a feminist icon and i grew up under the influence. by first recognition is not an historian, the budding feminist whose attention was trying to fabulous paintings and i lived in colorado and people talked about this woman and the way she lived. the fact from 1929 forward she came to new mexico from inside of the year, living apart from
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her husband in the 30s and 40s continue to do this for 20 years until her has-been status and that she moved to new mexico full time. so she lights up our imagination as an artist because she was famous so young, but secondly, she lived the life she wanted to live in is a very disciplined by men. i think that stands out as women make choices event right through to the 70s comment they made choices that accommodate family and other pursuits in their life. georgia o'keeffe had one driving passion in her life. it was through her.
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>> to tell me they're going to pass the bill, a good bill and similar rights. can sure get him to agree to put a closer review procedures going to try and keep from passing anything? >> i think we've got to do so with. >> today, john kerry gave his senate farewell speech, we think his colleagues and reflected on his 28 year career representing massachusetts as a u.s. senator. the senate confirmed on the secretary of state nomination on tuesday in a 94 to three for.
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>> i want to begin by thanking my colleagues, all of them for their unbelievably generous comments to me personally in the canadian on the floor and in the halls and meeting so the course of the last weeks. i will always be grateful for her friendships. i think my wife, teresa, who is hearing the family gallery in my entire family for their unbelievable support through this journey. five times massachusetts has voted to send me to the united states senate. yesterday, nearly three decades after the people of massachusetts voted me in the office, the people i work with in the senate voted out. as always, i accept the senate sound judgment. eight years ago i admit i had a very different plan from a
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slightly different to read the senate, the 61 billion americans voted they wanted me to stay here with you. and so, stay in here learned about humility and sometimes the greatest lesson in life comes not from victory, but dusting yourself off after her defeat in starting over when he did not sound. i was reminded throughout this journey is something often said, but not always fully appreciated. all of the senators are only as good as their staff. i sat the kids up nights and weekends, postpones vacations, doesn't get home in time to type children in bad and all those last moments because they are here hoping to serve. they are not elected. they didn't get into public service to get rich. that's for sure. and their names are rarely in the newspapers.
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but from the stuff in the mail rooms to the people who answered the front phones, policy experts and managers, legislative correspondence with the letters, caseworkers to make government accountable and people everywhere in between, they make this a network for people. i've been blessed to have a spec secular staff and while i know everyone on my colleagues would say the same thing about their staff, it's true about mine. if i start naming names, i'm going to miss somebody, so i'm not going to. but everyone on my staff who understand my what a knowledge by going out with this any longer. the rep in heaven looking down and all of us and ted kennedy is drafted all of us. jeanette didn't, bill bradley and jean heller. the latter two were senior citizen volunteers who open their mail for over a decade.
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not paid. it is added to the country. we miss them all and thank them for their selfless contribution. as i do, entire staff of 561 incredible men and women in massachusetts and washington through these 28 years. i also think about the interns. what does it 393 have come in and out of offices from washington to worcester and i'm especially proud restarted as interns and ended up as a chief of staff, legislative direct or commit senior policy staffers for the kerry in terms an untruth not just for me, but you have for the last four years at top speechwriters, tractor or compass intercommunication step the white house and president of the united states. i'm proud of our internship program is great for the people who built it and sustain it.
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i also want to thank the incredible group of unsung heroes who literally make the senate were. people who work not for individual senators, but all of us in every round and can creamy of this great series of buildings. the men and women who operate the senate subways, trains, elevators take us to the vote meeting i really the glue and we couldn't function without them there an extraordinary group of people. the capitol police to protect us, a lot of people are understood to notice more after that awful day made 298 when two were shot and killed on a busy wednesday afternoon. the parliamentarians and the clerks and staff on the floor including gary and 10 in trisha and meredith and clerks in the cloak room, all of them help
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keep us going and are unfailingly patient when they call for the obtained time to find out whether the schedule at his home church has dance recital or birthday party or any kind of family event. i want to thank the many moments who came here more than 40 years ago, to doug annan made the senate are causing concern. people like mike murphy who makes everyone's life easier. i think the reporters who catches and holidays, trap snmp shows and hallways and who despite all the changes and challenges in their own business still dutifully document first drafts of american history. i think the incredible people who travel through these halls, working incredibly hard to get it right. people of character who cover this place.
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it's not a sport and i think then. david rogers for he stood so far hard to imagine my job but i've seen him in the locker & co. after a late night vote. sometimes in politics, it's now almost a sport in america to dismiss contributions in people who work in government. people who make this a network, but the public never see. the way of our pharmacology succumbed on the floor once a week and tell the story of one individual federal worker. the stories are legion. instead of tearing these people down, we have to let them out and i thank them all for the part they play in our democracy. i will share with you now that i've come to this moment in the journey. i can say without reservation that nothing prepares you for
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it. many times out of 28 years i've been at my desk chair on the floor started whenever they come in number 99, listening as colleagues that the senate farewell. sometimes the farewell speech that is a complete departure from public life. sometimes a new journey altogether. sometimes forced departure. sometimes the leap for freedom. i'm grateful at this moment that thanks to my colleagues, serendipity and the trust of our president, while closing a chapter, it's not the final one. you sure you meant the excitement and possibility as you feel the sun is about the united states senate. and that's because despite the obvious frustration in recent days and years, the frustration we all share, this place remains one of the most extreme or
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institution any time on the face of the earth. on occasion we've all heard a senator leave here and take a leaf condemning the senate for being broken for having become an impossible setting to try to get people's business. i want to be clear of my feelings. i do not believe the senate is broken, strictly not as an institution. there's nothing wrong with the senate they can't be fixed by what's right about the senate. the predominant in waiting notion that 100 american citizens, chosen by neighbors to serve states is different as massachusetts and montana can always choose to put parochial or personal interests aside and find the national interest. i believe it is the honor of a lifetime, an extraordinary
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privilege to represent the states senate forassachusetts more than 20 years. what a remarkable gift to spend to carry the banner of the senate in massachusetts just as each of you feel that way by uris dates. the banner in our case past from a sense of the american revolution that you know webster to the sons of immigrants by paul tsongas and to do with in quincy market could send to washington in the ted kennedy who sought to expand solar array and now the woman, elizabeth foreign, approved in massachusetts a cost ceiling has finally been forever shattered. what a remarkable gift massachusetts has given me to come here and learned so much about the rest of the country. i've had the privilege of
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learning but really makes our nation tape. what a gift to have been the nominee of my party, to have come within a whisker of winning the president teagan the wartime incumbent, but more importantly experience the magic of our nation in such a personal way. to experience the gift of traveling along the banks of the mighty mississippi through iowa and south dakota and rivers where lewis and clark march enmeshed with the dream of our first secretary of state, thomas jefferson that would advance into the last to experience a journey that took me to alabama where he stood silently for a much talked to king appreciative stream and tipped my fingers into the top of birmingham where water flows over the name of those murdered steve bullock
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that are just registering to vote to see the latter chicle uncovers the dark or sparing justice maypole down like waters and righteousness at the mighty stream. i drove of course the hoover dam and i wondered if they did at what america can accomplish when we want to, when we put our minds to it. driving across the globe gate bridge at john, i reminded it was built at the height of the great depression and so many feared that our best days were behind us. what i've seen and heard and learned traveling across the country as a senator from massachusetts has prepared me more for my travels to other countries and secretary of state than a t
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